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Corporate Actions - Operational Challenges
 
Objectives

This course is aimed at developing existing fundamental knowledge of corporate actions into a range of more challenging and more complex corporation action types. This course is equally relevant to both the buy-side and sell-side of the business. This training course is designed to educate staff currently working within the corporate actions department in the more demanding aspects of corporate actions so as to maximise awareness with the ultimate objective of minimising risks and financial loss.


Target Audience

This course is suitable for practitioners who have existing knowledge of corporate actions at an elementary level, and who are looking to develop their understanding to the next level. This course is an extension of the ICMA Operations Certificate Programme (OCP) but there are no formal pre-requisites to taking this course. Suitable for front and middle office staff as well as operational employees.


Length and Structure of the Course

The course consists of two days of lectures, case studies and group exercises. Each day typically consists of four 90 minute sessions with coffee breaks in the morning and afternoon and lunch break in the middle. There is no exam for this course but candidates will get a certificate of attendance.


Course Tutor

Mike Simmons
Mike is an independent training consultant and has been involved with capital markets and operations throughout his career, focusing originally upon securities settlement and more recently on the broader aspects of operations (e.g. collateral management, foreign exchange, derivatives). Mike is the author of two books on Operations ‘Corporate Actions: A Guide to Securities Event Management’ and ‘Securities Operations: A guide to Trade and Position Management’ both published by Wiley Finance. Mike is also a regular instructor on the ICMA Operations Certificate Programme.







Course Outline
Session 1 Contents
Introductory Session • Review of the Types of Corporate Action
• Lifecycle of a Corporate Action: Overview
• Responsibilities of the Corporate Actions  Department: Overview
Session 2 Contents
Short Selling • Definition of Short Selling
• Role of prime brokers
• The impact of short selling on a corporate action
Session 3 Contents
Securities Lending & Borrowing • Definition of & reasons for securities lending & borrowing
• Methods of securities lending & borrowing and their implications
• The impact of securities lending & borrowing on corporate action events.
Session 4 Contents
Special Cum & Ex Trading • Definition & meaning of special-cum & special-ex trading
• Comparison of special versus normal trades
• The impact on corporate action events
Session 5 Contents
The impact on corporate action events • Definition of WHT and the circumstances when it is charged
• How the correct tax rates are deducted
• WHT in Australia and dividend imputation
Session 6 Contents
American Depository Receipts (ADRs) • Definition and purpose of ADRs
• ADR creation and cancellation
• Circumstances when issuance fees are charged
Session 7 Contents
UK Stamp Duty • Definition and application of stamp duty in the UK
• Transaction types attracting stamp duty
• Circumstances when stamp duty is charged on corporate
Session 8 Contents
Rights Issues • Definition and purpose of rights issues
• Conventional rights issue lifecycle
• Comparison versus 'Accelerated' issues & 'Preferential Subscription' issues





Thomson ReutersDetails of the next seminar

  

London
12-13 June 2013


Thomson Reuters
30 South Colonnade
Canary Wharf
London E14 5EP
United Kingdom

This is an ICMA Executive Education course hosted by Thomson Reuters.  Thomson Reuters is the leading source of intelligent information for the world’s businesses and professionals. 


Costs

The cost is £1,000.00 for ICMA Members and £1,300.00 for non-members for the seminar on 12-13 June in London.
Subsequent seminars will be charged at the new price of £1,250.00 for ICMA Members and £1,650.00 for non-members.

The following discount scale is offered:
2-4 candidates – 5% discount each*
5+ candidates – 10% discount each*

*Please note that discounts are applied by way of a refund to the organisation when registration has closed and the final number of candidates from the firm has been determined.

Payment can be made by secure online credit card or by invoice. Please note that the BACS invoice method has an additional £50 admin fee.

Note that anyone requiring accommodation to take the course will be required to arrange this on their own; it is a class-based but non-residential course.


For more information

This course is also available on a group booking basis.

Should you have any queries about this seminar please contact David Senior on +44 20 7213 0329 or at education@icmagroup.org





Lene Nomark Sørensen

Organisation: Danske Bank
Job title: Senior specialist

Describe what you do on a day to day basis in your job:
We process all kinds of dividends, reinvestment schemes, interest and redemption payments and coupon claims/securities lending. We inform all our clients in different regions about all mandatory and optional events.

Reasons for taking the course:

To be aware of possible risks through not acting correctly and in a timely manner when operating with the many kinds of corporate action types.  It is important that the surrounding departments, e.g. settlement departments and your dealers, as well as your counterparty, act on these events.

Benefits of taking this course:
Bigger understanding of special issues. Interesting to hear from other organisations and be made aware that in some cases we face the same problems, albeit from a different perspective. I would like a follow up course as there are many other aspects to discuss. We were encouraged to come up with issues before the course, and during the course I found that when I came home and discussed some of the issues in more detail with my colleagues, there were additional areas we would also be interested in discussing.




Nickolay Nickolovski

Organisation: Consileon Business Consultancy GmbH
Job title: Consultant

Describe what you do on a day to day basis in your job:
Discussion / agreement of the project organisation together with the sponsors of the project;
Translation of top management strategy into product development items / roadmap planning;
Requirements analysis and solution specification in close cooperation with business and IT units;
Review-workshop for alignment and adjustment of target processes;
Preparing and conducting Information-Sessions for the operational units
Impact analysis of internal processes, created in close cooperation with all operational departments.

Reasons for taking the course:
Interest in the area of Corporate Actions and extension of current CA knowledge.

Benefits of taking this course:
Detailed explanation of selected parts of the Corporate Actions topic;
Better understanding of the topic;
Well discussed and explained possible problems from operational perspective of the different types of Corporate Actions.




Emer O’Connor

Organisation: Depfa Bank
Job title: Senior Associate Security Settlements Coupons & Redemptions

Describe what you do on a day to day basis in your job:
Income and Redemptions on all bonds;
Process and interpret all Corporate Actions received from custodians and circulate internally to a number of teams;
Investigate all cash and custody breaks on bonds and liaise with internal departments and also external counterparts.

Reasons for taking the course:
To gain further knowledge and an overall better understanding of how Corporate Actions operate and to gain an understanding of the full flow of Corporate Actions.

Benefits of taking this course:

I now understand how they work and also appreciate other organisation’s frustrations when dealing with Corporate Actions.








 
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